In FY25, Avanse's net profit increased 47% to INR 502 Cr.

The combined net profit of NBFC Avanse Financial Services, which focuses on educationIn the fiscal year that concluded on March 31, 2025 (FY25), Avanse Financial Services Datalabs_in-article-icon increased 46.6% to INR 502 Cr from INR 342.4 Cr in the prior fiscal year. The operating revenue of the IPO-bound NBFC increased by 36% from INR 1,727 Cr in FY24 to INR 2,347 Cr.In FY25, the company's total asset under management (AUM) climbed from INR 13,303 Cr to INR 18,985 Cr, a YoY rise of 1.4X. In the meantime, loan disbursement increased by 9% to INR 6,914 Cr in FY25 from INR 6,335 Cr the year before. Avanse, which was founded in 2013 by Amit Gainda, provides education loans to students who wish to study in India or outside. Additionally, it makes it easier for educational establishments like schools to obtain funding for the construction of infrastructure.

The majority of the business for the Mumbai-based NBFC comes from Indian students who want to study overseas. During the year, loan disbursements totaled INR 5,152 Cr, while the segment's AUM was INR 15,275 Cr. The sector that serves educational institutions came next, with an AUM of INR 3,068 Cr and a total loan disbursement of INR 1,501 Cr in FY25.According to the company's annual report, the number of Indian students studying overseas has skyrocketed and continued to rise over time. From 9 Lakh in CY22 to 13.3 Lakh in CY24, this figure has increased by 48%. Additionally, India's education system is undergoing significant transformation as a result of its increased emphasis on providing pupils with comprehensive learning and development. This has forced them to spend money on edtech, labs, digital classrooms, and sports facilities for after-school activities.A significant portion of the lending major's revenue came from interest income, which rose 39.5% from INR 1,443.7 Cr in the prior fiscal year to INR 2,014.4 Cr in FY25. In FY25, revenue from fees and commissions increased by 23% year over year, while net gain on fair value charges increased by 10.6%. During the year, net gain on fair value charges was INR 14.6 Cr, despite fee and commission revenues totaling INR 227 Cr. The net benefits from the company's financial instrument derecognition increased its top line by INR 91 Cr in FY25, a 6% increase from INR 85.6 Cr the year before.